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Expert FMCG tips for the new financial year

July 28, 2023
in Business
Expert FMCG tips for the new financial year
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In preparation for the new financial year, FMCG business experts, led by Dr Hazel MacTavish-West and the Seedlab Australia team, have generously shared their invaluable insights, tricks, tips, and advice to assist small businesses in making a successful transition.

Dr Hazel MacTavish-West, the CEO and Founder of Seedlab Australia, the country’s premier FMCG-focused business incubator and accelerator, along with her team of experts, is dedicated to equipping new and small Australian and New Zealand businesses with the necessary tools to expand their offerings on a national scale.

Dr Hazel MacTavish-West acknowledges that running a new or small FMCG business can often lead to overlooking crucial processes or planning due to being heavily involved in day-to-day operations and juggling multiple roles.

In this regard, she emphasizes that some of the most vital elements often missed in financial year planning are seemingly simple yet easy-to-miss steps, including properly mapping out a cost-of-goods plan and leveraging purchasing power to reduce costs. Additionally, effective cash flow management plans are frequently overlooked, but they play a critical role in the success of an FMCG business.

Below are some of the top insights shared by the Seedlab team to ensure a prosperous new financial year:

Set Well-Defined Goals: Having clear, concise, and easily communicated goals and objectives will serve as your guiding light throughout the year and help keep your business on track. These goals may encompass short and long-term turnover and profit targets, cost of goods targets, and timelines to enhance profit margins through increased buying power with suppliers. Sharing these goals with your team is vital, as their alignment with your vision is crucial for success.

Cash Flow is King: Implement a 13-week rolling cash flow forecast, where you analyze your business’s financial data and projected cash inflows and outflows for the upcoming weeks. Constantly scrutinize costs for services, such as labor, insurance, and marketing, to ensure a steady financial foundation. This proactive approach enables you to anticipate and address potential cash flow shortfalls or surpluses and make informed decisions in dynamic and uncertain business environments.

Embrace Routine: Establish regular intervals for reviewing your business’s inflows and outflows, supplier costings, 13-week rolling cash flow forecast, inventory, logistics, and sales channels. Routine assessments will help optimize profit margins and overall profitability. Additionally, schedule time with your team quarterly to conduct competitor analysis and stay updated on market trends affecting your industry.

Learn to Say No: Be comfortable declining opportunities that do not align with your financial goals. You may encounter various opportunities, such as new stockists, bulk purchasers, collaborations, sponsorships, or donation requests. Only pursue those that make sense for your business and contribute to increased profitability or enhanced brand awareness.

Harness Purchasing Power: Reduce the number of small orders for ongoing items by ordering large quantities of packaging, non-perishable ingredients, and other consistent operational items. However, be mindful of potential disruptions in supplier timelines, such as shipping or manufacturing delays, to avoid unnecessary inventory buildup.

To learn more about Seedlab Australia, please visit. Read more about Woolworths’ $4 million investment in Seedlab here.

Keep up to date with our stories on LinkedIn, Twitter, Facebook and Instagram.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Dynamic Business – https://dynamicbusiness.com/topics/news/expert-fmcg-tips-for-the-new-financial-year.html

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